Canadian Banc (TSE:BK) Sets New 1-Year High – Still a Buy?

Shares of Canadian Banc Corp. (TSE:BK) reached a new 52-week high on Friday . The stock traded as high as C$12.20 and last traded at C$12.19, with a volume of 59045 shares trading hands. The stock had previously closed at C$12.12.

Canadian Banc Price Performance

The company has a debt-to-equity ratio of 98.31, a current ratio of 1.98 and a quick ratio of 2.23. The firm has a fifty day moving average of C$11.58 and a two-hundred day moving average of C$11.41. The stock has a market capitalization of C$418.24 million, a P/E ratio of 5.87 and a beta of 1.22.

Canadian Banc Increases Dividend

The company also recently disclosed a monthly dividend, which will be paid on Thursday, July 10th. Investors of record on Thursday, July 10th will be issued a $0.1467 dividend. This is an increase from Canadian Banc’s previous monthly dividend of $0.14. This represents a $1.76 annualized dividend and a dividend yield of 14.47%. The ex-dividend date is Monday, June 30th. Canadian Banc’s payout ratio is presently 80.61%.

About Canadian Banc

The Companys investment objectives are (i) to provide holders of Preferred Shares with cumulative preferential floating rate monthly cash dividends at a rate per annum equal to the Prime Rate plus 0.75%, with a minimum annual rate of 5.0% and a maximum annual rate of 7.0% (ii) to provide holders of Class A Shares with regular floating rate monthly cash distributions targeted to be at a rate per annum equal to the Prime Rate plus 2.0%, with a minimum targeted annual rate of 5.0% and a maximum targeted annual rate of 10.0% and (iii) to return the original issue price to holders of both Preferred Shares and Class A Shares at the time of the redemption of such shares on December 1, 2012.